How cool would it be to listen to Jeff Snider interview and question Dr Sandor? Getting those two together where Jeff was asking Dr Sandor the deeper questions would be off the charts!
Yep, I'm desperate to hear some debates between Jeff and people who disagree about the importance of the eurodollar market like Dr Sandor, or Michael Howell
@@sagitta4291 Indeed, Jeff and Emil are in a bit of a pickle if Eurodollar University becomes irrelevant as the system morphs, if this is what is happening. I was not aware of how the eurodollar system under LIBOR was so broken though I suspected trouble was brewing. Since it's going away in an orange for an apple kind of way with SOFR said to be replacing it, I think Jeff and Emil would do well in not just Monday-morning quarterbacking this transition next July but in treating the issues of Eurodollar systemic dysfunction with much greater emphasis. Jeff seems to be somewhat singularly qualified to do this with the help his Sancho Panza, Emil. But now is the time for him to step up and show us all that he's not quixotic nor an apologist for a dinosaur that's dying. BTW, he's not and since both he and Dr Sandor are teachers at heart, I hope many others echo my sentiment loudly: come on you two, help us see what's underway if possible and where the international monetary system is really going.
There was an episode with Joseph Wang and Jeff, you could see Joseph did not approve of Jeff's methods, but they were reaching a lot of the same conclusions
From what I understand, his interpretation of Euro Dollar is LIBOR. However, from following Jeff Snider's Euro Dollar University I understand Euro Dollar to mean the entire synthetic offshore USD money market, which is very much alive and kicking
@@jasperknight5781 Well, not really alive, just wounded, as I see it. Jeff says that it was kicking before GFC, because of unsecured loans (everyone trusted everyone - everything blooms), but now the majority of loans are collateralised (absence of trust) - so the eurodollar system is simply working badly. The low inflation (real monetary inflation) is the result of restrained debt issuance
Hmmm. This was pretty good. I only have to push back on the fact that he had to engage in some mental gymnastics when he admitted that Euro-dollar futures are more indicative of real market conditions than any Federal Reserve-derived rate. Sure it is strange that derivative markets in Eurodollars trade more than the underlying commodity of dollars themselves, but in the real world, it is a game of the lesser of two evils or what simply works better. It's not about what makes sense in a vacuum. And the fact is that eurodollars simply respond the best to real market conditions. And he's talking about moving to Fed-based, and likely Fed-manipulated rate after talking about the manipulation in the eurodollar market.
Great comment, there is a fight for interest rate dominance going on! From charts that I have seen of rates during recessions the LIBOR was usually higher, reflecting fear. But LIBOR is outlawed so which rate should we choose now? Also, what do you mean by the “underlying commodity of dollars”? I’m looking into the importance of Retail Bank Deposits to the functioning of the monetary system. Eurodollars is my latest lead.
@DJ Yeah, please go ahead and show me the way, random person on the internet insulting other random people on the internet. You do seem to know all the answers.
@@sagitta4291 throttle back my friend, you are also a rando on the internet, and my interpretation of DJ's comment is that they may have been talking about anyone's current age. Sort of one upping your flattering comment on age versus lucidity for the guest.
Nomenclature needs some clarification: the Eurodollar futures market is the one market for the interest rate hedging product. The Eurodollar to which Jeff Snider refers, or "Euro"-dollar, is an old term meaning dollars trading offshore. Euro used to mean "continental" as in US dollars traded between European banks, on the European continent. And today the denominations don't really matter. It's all virtual dollars on computers, with symbols for the currency. You could have Euro-euros, Euro-yen, Euro-Aussie dollars, but each currency is a derivative away from the other via FX swaps or cross currency basis swaps.
yeah but all of these euro-fiat deposits in any country must also be a bond of that euro-fiat received by a bank subsidiary of foreign country. so for every 1usd outside USA, you have at least 1usd nominal eurodollar bond. by eurodollar bond i dont just mean long-term securities, but all of them. also it wouldn't be a problem if it was 1:1 ratio, problem is that they levered it to god knows how high. another part of problem is that a lot of dollars buying these bonds on secondary market is from black sources.
This was my thought the whole time. What this boils down to is an academic economist who wanted to prove his worth by intervening in financial markets in a way he could leave his legacy. He certainly left a legacy, and as nice as he is and gentle and well spoken, he does not excuse the fact that everything he did leveraged and financialized the economy so that the average person has been put out. It may sound good on paper, but in real life he introduced so much moral hazard the greediest among us could not help themselves. We have bastardized what monetary policy should be through exercises like his.
Any chance you can dig into the Eurodollar thing a bit more? I'm struggling to understand how it can just die. If Jeff Snider is right and there is a dollar shortage what are the implications of that? Was the Eurodollar market facilitataing the creation of dollars offshore? I cant get my head arround the plumbing but is it possible that only allowing repo to friends of the US could have huge implications globally?
Dude they are leaving the discount window like an episode of zombie television? The hoard needs paper and waiting for fresh treasury bills when the Fed reallllllly realllllly means it, misses the good collateral boat?
From what I can understand through Jeff the Eurodollars system is the actual money creation mechanism for non-reserve money (dollars). Money is LENT into existence through LOANS. From what Richard describes as “Eurodollar Contracts” I can gather that it is the interest rate (LIBOR) at which these Loans are made. Since LIBOR is no longer the global standard there is a Fight for interest rate dominance. What I would like to know is what part does Retail Bank Deposits play in the Eurodollar system and how the system connects with the SOFR & REPO rates
Its not dead! Its just going automated w/ less human involvement. Govts will still continue to borrow & lend in this new level playing field. The Euro$Market is simply "lending" internationally. Today all the AMM, Spreads, SOFR etc is all going digital via DLT. Which is way more efficient and executed in less than 3-seconds. I see the futures market spanning much further in the game due to ESG
Thank you so much for your channel. Your helping out so many of us learn whats going on, especially us that have very little capital and unable to gain access to information.
It's misleading to conflate Eurodollar financial products with the Eurodollar as off-shore dollar denominated lending in general. On-balance sheet dollar denominated liabilities of NON-US banks was $12.4 trillion in 2020. Off-balance sheet would add significantly higher than that. The visible global repo market is also around $13 trillion, likely much much more than that. These things are the Eurodollar market, not just LIBOR futures.
Can you please bring the guest and Jeff Snider on the same show? Jeff Snider seems to think Euro dollar market is alive and well and much more impactful than the guest suggests
This guy wreaks of insider... do as i say, not as I do. Euro$s? What's that, he says... this guy has to be loaded with Euro$s... Jack, nice commercial for the establishment...
they want to ration air water nature meaning food farm water and air for industrial production and standard of living for a developing country so we can reduce the population just like we can manipulate intrest rates meaning bring future savings forward by borrowing from future to live in the now
What will replace LIBOR in Canada? SARON Canada is adopting a multi-rate approach with both CDOR and CORRA co-existing as interest rate benchmarks. Swiss Average Rate Overnight (SARON). Transition to SARON, which is a pre-existing rate that was recommended as the alternative to CHF LIBOR in October 2017. LIBOR is expected to cease after end-2021. how does Swiss Average Rate Overnight (SARON) work with Ameribor?
3 years ago I would have yawned at this interview instead I’m fascinated to hear someone talk about how the derivatives market was born! I’m also curious about that painting behind? Is it by David Hockney?????????😻
The libor replacement discussion focused entirely on the perspective of benchmarking rather than how its future is traded. I think most audiences of this channel would be more interested in its future curves rather than how successful or widely used by banks to set the rates of their business. It's claimed to be unsecured but shows much lower volatility than secured SOFR, smell test anyone? Or we should just ignore the signal but accept this upside down world as it is. My education taught me to recognize the volatility difference in this way: sofr's larger fluctuation from day to day implies there are riskier participants going in and out of the market on daily basis while only known players are welcomed under the ameribor (AFX) framework so the counterparty risk is priced to the same level, which is to say riskier counterparties are less active on executing ameribor type overnight.
I wouldnt say dead! Govts will still continue to borrow & lend in this new level playing field. Euro$Market is simply "lending" internationally. Today all the AMM, Spreads, SOFR etc is all going digital via DLT. Which is way more efficient and executed in less than 3-seconds. I see the futures market spanning much further in the game due to ESG
Have a hard time believing someone who has a dog (AMERIBOR) in this fight. He is no different than LIBOR, SOFR, SPSF, or CIPS. You can stop watching at this point.
Putin, this guy is talking about the futures contracts on the exchange and not the actual offshore USD lending system which is enormous. Though I’m definitely not a fan of Snider’s uncompromising deflationism.
And yet the dead curves have predicted past crashes with what is it 95% correctness. I respect this person but I don't agree with his point that its dead
Can you add something to this video because it was confusing. The Eurodollar market refers to currency held offshore in an unregulated fashion. Potentially private or shadow lending. I am confused at why the conversation went so quickly to the libor. I know libor is gone and he is trying to sell his product. But offshore dollar lending can be done in any rate just change the associated reference index. Can you explain….I don’t understand the title of video in relation to the content of video.
Maybe you should have the EuroDollar discussion with Jeff Snider and Joseph Wang instead of an old peddler trying to sell us his version of the LIBOR futures. 😂
After The Rapture Swan Event [a-once-in-a-7000-year-event] masters of commodities of Creator's free air&water will be gasping for air & wetting their pants !! All Repentant ESCAPE in The Rapture !!!!!
Perhaps father time has been doing some clearing on his dome and he is ashamed to rock the old bald guy look and instead opts for the Indiana Jones movie villain look.
ahahahahahahahah jack is so blatant with where his beliefs lie in regards to the eurodollar market, way to shill for the establishment edit: just got to the part where the AMERIBOR “product” (!!!) is introduced. that told me everything i need to know. i do appreciate the guest going into detail how he and his buds managed to bastardize our monetary system, and the feel-good mentality he holds towards it. he is a charming old man though
![I.N "HALLUCINATION" | [Stray Kids : SKZ-PLAYER]](http://i.ytimg.com/vi/n5B5q1Hwt_U/mqdefault.jpg)
WOW. Absolutely amazing interview.
Awesome historic analysis. Good job guys. Thanks Blockworks
How cool would it be to listen to Jeff Snider interview and question Dr Sandor? Getting those two together where Jeff was asking Dr Sandor the deeper questions would be off the charts!
Yep, I'm desperate to hear some debates between Jeff and people who disagree about the importance of the eurodollar market like Dr Sandor, or Michael Howell
@@sagitta4291 Indeed, Jeff and Emil are in a bit of a pickle if Eurodollar University becomes irrelevant as the system morphs, if this is what is happening. I was not aware of how the eurodollar system under LIBOR was so broken though I suspected trouble was brewing. Since it's going away in an orange for an apple kind of way with SOFR said to be replacing it, I think Jeff and Emil would do well in not just Monday-morning quarterbacking this transition next July but in treating the issues of Eurodollar systemic dysfunction with much greater emphasis. Jeff seems to be somewhat singularly qualified to do this with the help his Sancho Panza, Emil. But now is the time for him to step up and show us all that he's not quixotic nor an apologist for a dinosaur that's dying. BTW, he's not and since both he and Dr Sandor are teachers at heart, I hope many others echo my sentiment loudly: come on you two, help us see what's underway if possible and where the international monetary system is really going.
There was an episode with Joseph Wang and Jeff, you could see Joseph did not approve of Jeff's methods, but they were reaching a lot of the same conclusions
Someone call Jeff Snider.
Lol!
LOLOLOLOLOL
From what I understand, his interpretation of Euro Dollar is LIBOR. However, from following Jeff Snider's Euro Dollar University I understand Euro Dollar to mean the entire synthetic offshore USD money market, which is very much alive and kicking
@@jasperknight5781 yeah, I have no idea what is going on. I just like to shitpost.
@@jasperknight5781 Well, not really alive, just wounded, as I see it. Jeff says that it was kicking before GFC, because of unsecured loans (everyone trusted everyone - everything blooms), but now the majority of loans are collateralised (absence of trust) - so the eurodollar system is simply working badly. The low inflation (real monetary inflation) is the result of restrained debt issuance
Hmmm. This was pretty good. I only have to push back on the fact that he had to engage in some mental gymnastics when he admitted that Euro-dollar futures are more indicative of real market conditions than any Federal Reserve-derived rate. Sure it is strange that derivative markets in Eurodollars trade more than the underlying commodity of dollars themselves, but in the real world, it is a game of the lesser of two evils or what simply works better. It's not about what makes sense in a vacuum. And the fact is that eurodollars simply respond the best to real market conditions. And he's talking about moving to Fed-based, and likely Fed-manipulated rate after talking about the manipulation in the eurodollar market.
Great comment, there is a fight for interest rate dominance going on! From charts that I have seen of rates during recessions the LIBOR was usually higher, reflecting fear. But LIBOR is outlawed so which rate should we choose now?
Also, what do you mean by the “underlying commodity of dollars”? I’m looking into the importance of Retail Bank Deposits to the functioning of the monetary system. Eurodollars is my latest lead.
Very fascinating guest, I wish I can be so lucid and articulate when I'll be his age.
@DJ Yeah, please go ahead and show me the way, random person on the internet insulting other random people on the internet. You do seem to know all the answers.
@@sagitta4291 throttle back my friend, you are also a rando on the internet, and my interpretation of DJ's comment is that they may have been talking about anyone's current age. Sort of one upping your flattering comment on age versus lucidity for the guest.
1.25x speed makes it a great interview to listen to, the content was already great.
At 1.5x speed it sounds like he is 40 years younger and in his prime
Wow great suggestion. Thanks!
1.75x
2x 🤣
Brilliant suggestion...1.5x seems to work best😀
Nomenclature needs some clarification: the Eurodollar futures market is the one market for the interest rate hedging product. The Eurodollar to which Jeff Snider refers, or "Euro"-dollar, is an old term meaning dollars trading offshore. Euro used to mean "continental" as in US dollars traded between European banks, on the European continent. And today the denominations don't really matter. It's all virtual dollars on computers, with symbols for the currency. You could have Euro-euros, Euro-yen, Euro-Aussie dollars, but each currency is a derivative away from the other via FX swaps or cross currency basis swaps.
yeah but all of these euro-fiat deposits in any country must also be a bond of that euro-fiat received by a bank subsidiary of foreign country.
so for every 1usd outside USA, you have at least 1usd nominal eurodollar bond. by eurodollar bond i dont just mean long-term securities, but all of them. also it wouldn't be a problem if it was 1:1 ratio, problem is that they levered it to god knows how high. another part of problem is that a lot of dollars buying these bonds on secondary market is from black sources.
So this fella is part of the financial shenanigans shitstorm we find ourselves in..he must be so proud 🤦♂️
This was my thought the whole time. What this boils down to is an academic economist who wanted to prove his worth by intervening in financial markets in a way he could leave his legacy. He certainly left a legacy, and as nice as he is and gentle and well spoken, he does not excuse the fact that everything he did leveraged and financialized the economy so that the average person has been put out. It may sound good on paper, but in real life he introduced so much moral hazard the greediest among us could not help themselves. We have bastardized what monetary policy should be through exercises like his.
@@jfausset well typed, I just threw a comment out about the road to hell being paved with "good intentions". I like your comment better.
What a gentleman. Such a sincere professional. Appreciates Jack for his skill and talent. Total class.
Heard on a loudspeaker ""Paging Dr. Snyder paging Dr. Snyder ".
Any chance you can dig into the Eurodollar thing a bit more? I'm struggling to understand how it can just die. If Jeff Snider is right and there is a dollar shortage what are the implications of that? Was the Eurodollar market facilitataing the creation of dollars offshore? I cant get my head arround the plumbing but is it possible that only allowing repo to friends of the US could have huge implications globally?
Dude they are leaving the discount window like an episode of zombie television?
The hoard needs paper and waiting for fresh treasury bills when the Fed reallllllly realllllly means it, misses the good collateral boat?
I think the disagreement is on what degree can the fed control the eurodollar.
From what I can understand through Jeff the Eurodollars system is the actual money creation mechanism for non-reserve money (dollars). Money is LENT into existence through LOANS.
From what Richard describes as “Eurodollar Contracts” I can gather that it is the interest rate (LIBOR) at which these Loans are made. Since LIBOR is no longer the global standard there is a Fight for interest rate dominance.
What I would like to know is what part does Retail Bank Deposits play in the Eurodollar system and how the system connects with the SOFR & REPO rates
@@thomaskauser8978 what do you mean by this?
Its not dead! Its just going automated w/ less human involvement. Govts will still continue to borrow & lend in this new level playing field. The Euro$Market is simply "lending" internationally. Today all the AMM, Spreads, SOFR etc is all going digital via DLT. Which is way more efficient and executed in less than 3-seconds. I see the futures market spanning much further in the game due to ESG
"We had every single market with the exception of some of them"🤣 Got to love it.
Thank you so much for your channel. Your helping out so many of us learn whats going on, especially us that have very little capital and unable to gain access to information.
It's misleading to conflate Eurodollar financial products with the Eurodollar as off-shore dollar denominated lending in general.
On-balance sheet dollar denominated liabilities of NON-US banks was $12.4 trillion in 2020. Off-balance sheet would add significantly higher than that.
The visible global repo market is also around $13 trillion, likely much much more than that.
These things are the Eurodollar market, not just LIBOR futures.
Can you please bring the guest and Jeff Snider on the same show? Jeff Snider seems to think Euro dollar market is alive and well and much more impactful than the guest suggests
This guy wreaks of insider... do as i say, not as I do. Euro$s? What's that, he says... this guy has to be loaded with Euro$s... Jack, nice commercial for the establishment...
Not exactly so...Jeff thinks the Eurodollar system is kind of broken in a number of ways. So yes it's alive but no, it's not doing so well these days.
The Eurodollar system and a Eurodollar contract are separate things
@@davidhouston6603 Could you please elaborate?
The day opens in Australia and shuts in NYC. The barrage to Antwerp leaves Saturday mornings!
My alarm bells started to ring when he mentioned climate change.
they want to ration air water nature meaning food farm water and air for industrial production and standard of living for a developing country
so we can reduce the population
just like we can manipulate intrest rates meaning bring future savings forward by borrowing from future to live in the now
Great interview to see at 1.75x speed.
Everyone dunking on Jeff Snider
WOW!! Thank you!
What an amazing gentleman!
What will replace LIBOR in Canada?
SARON
Canada is adopting a multi-rate approach with both CDOR and CORRA co-existing as interest rate benchmarks.
Swiss Average Rate Overnight (SARON). Transition to SARON, which is a pre-existing rate that was recommended
as the alternative to CHF LIBOR in October 2017. LIBOR is expected to cease after end-2021.
how does Swiss Average Rate Overnight (SARON) work with Ameribor?
3 years ago I would have yawned at this interview instead I’m fascinated to hear someone talk about how the derivatives market was born! I’m also curious about that painting behind? Is it by David Hockney?????????😻
Please do have him back on
Absolutely phenomenal!
Great interview.
A prime example of can we do something rather than should we do something 🤷
You should have just posted his CV and then focused on asking market-related questions.
Wish y'all would have the conference in Miami or somewhere other than NYC.
timestamps don't show up on the video timeline
He is brilliant! Bravo!!
Speed 150% is a blessing
A discussion between jeff snider and richard sandor would be interessting.
Every financial contract will have an on-chain analogy
Looking forward to his thoughts on blockchain
An old school Financial Gangsta !!
Cactus 🌵 jack great interview
Public television started running wall street week.
just because people move from petrol (LIBOR) to elecric (SOFR) does not mean that the car (Eurodollar) is dead !
The libor replacement discussion focused entirely on the perspective of benchmarking rather than how its future is traded. I think most audiences of this channel would be more interested in its future curves rather than how successful or widely used by banks to set the rates of their business. It's claimed to be unsecured but shows much lower volatility than secured SOFR, smell test anyone? Or we should just ignore the signal but accept this upside down world as it is. My education taught me to recognize the volatility difference in this way: sofr's larger fluctuation from day to day implies there are riskier participants going in and out of the market on daily basis while only known players are welcomed under the ameribor (AFX) framework so the counterparty risk is priced to the same level, which is to say riskier counterparties are less active on executing ameribor type overnight.
I wouldnt say dead! Govts will still continue to borrow & lend in this new level playing field. Euro$Market is simply "lending" internationally. Today all the AMM, Spreads, SOFR etc is all going digital via DLT. Which is way more efficient and executed in less than 3-seconds. I see the futures market spanning much further in the game due to ESG
Have a hard time believing someone who has a dog (AMERIBOR) in this fight.
He is no different than LIBOR, SOFR, SPSF, or CIPS. You can stop watching at this point.
Great guest but watch it on 1.5x speed. You'll thank me later.
pls podcast
Interesting.
smart and slick looking, love the green glasses.
I learned more about the eurodollar in this interview than I did from 6 months of attending euro-dollar University. I want my damn money back 😂
Putin, this guy is talking about the futures contracts on the exchange and not the actual offshore USD lending system which is enormous. Though I’m definitely not a fan of Snider’s uncompromising deflationism.
that was insidefull
Inflation PRECEDED FED action.
username checks out
This guy basically disproves everything Jeff Snider thinks
What a cool guy. Super savvy and love the blue glasses 💖
well, he didn't make the world better
In other words, "without me, BTC couldn't exist/be traded..."
And yet the dead curves have predicted past crashes with what is it 95% correctness. I respect this person but I don't agree with his point that its dead
Bond...James Bond.... Would have been a good trade owning that....
1.5x speed recommended
Can you add something to this video because it was confusing. The Eurodollar market refers to currency held offshore in an unregulated fashion. Potentially private or shadow lending.
I am confused at why the conversation went so quickly to the libor. I know libor is gone and he is trying to sell his product. But offshore dollar lending can be done in any rate just change the associated reference index.
Can you explain….I don’t understand the title of video in relation to the content of video.
So this is the mother fer who broke the world!!!
A long explanation of the "good intentions" that pave the way to hell.
Maybe you should have the EuroDollar discussion with Jeff Snider and Joseph Wang instead of an old peddler trying to sell us his version of the LIBOR futures. 😂
After The Rapture Swan Event
[a-once-in-a-7000-year-event]
masters of commodities of Creator's free air&water
will be gasping for air & wetting their pants !!
All Repentant ESCAPE in The Rapture !!!!!
Style
Matt Damon... fortune favors the makers of informercials about crypto
why is he wearing a fedora inside?
Perhaps father time has been doing some clearing on his dome and he is ashamed to rock the old bald guy look and instead opts for the Indiana Jones movie villain look.
ahahahahahahahah jack is so blatant with where his beliefs lie in regards to the eurodollar market, way to shill for the establishment
edit: just got to the part where the AMERIBOR “product” (!!!) is introduced. that told me everything i need to know. i do appreciate the guest going into detail how he and his buds managed to bastardize our monetary system, and the feel-good mentality he holds towards it. he is a charming old man though
Just another old technocrat.
Euro was dead
Hams Moman
It's funny, even the godfather here doesn't understand what the eurodollar is (or he's being disingenuous about it).
This interview is a joke!
Did he had a stroke?